Skip to Content
Parents camping with their two children symbolizing that they have a lot of financial planning to prepare for in the future
Planning your financial future

Your income is an asset that may also need protection

Your income is likely one of your most important assets. One way to protect your income can be with disability insurance.
How do you protect the things that you've worked so hard for? If you're like most Americans, you rely on insurance to protect some of your most important assets - such as your home or vehicle. For example, you have a homeowner's policy so if your house were to burn down, you wouldn't have to worry about where the money would come from to rebuild.

Having the right insurance is critical when it comes to protecting your most important assets. But when you get right down to it, what made those assets possible? Your income of course! Without an income, you likely wouldn't have qualified for a home or auto loan in the first place, let alone have the monthly income to manage the monthly payments.

If you're like most people, your ability to earn an income is one of your most vital assets. Yet despite its importance, few of us have the insurance coverage to protect it. We're of course talking about disability insurance.

Why get disability insurance?

Ask yourself, if you were to become too sick or hurt to work, how would you manage financially? You may have an emergency savings, but how long would that last if you were sick or disabled and out of work for 6 months or longer? Disability insurance could help protect against this potential reality.

Despite the importance of insuring your income with disability insurance, only one-third of working Americans have a disability insurance policy. Why? Because many people don't think it will happen to them - especially if they're young. However, according to the Social Security Administration, over one in four of today's 20 year-olds will become disabled before they reach retirement age.1

Another reason for putting it off is the misconception that the majority of disabilities are work-related and therefore, covered under workman's compensation benefits. However, many disabilities are illnesses or physical limitations not related to accidents in the workplace. For example, a study by Unum on ten years of disability claims reveals a significant increase in musculoskeletal issues and joint disorders.2

Simply put, having disability insurance protects your ability to earn an income by protecting your paycheck if you become too sick or hurt to work. The difference this type of policy can have in your life can be substantial, and choosing to go without it puts nearly everything you have at risk.

Don't wait. Check with your financial advisor or insurance professional who can help you find a disability policy that's right for you.

2. LIMRA 2016 Disability Insurance Awareness Month




Arrows linking indicating relationship

Related Articles

Woman holding an iPad looking thoughtfully out the window.

Better budgeting with financial planning software

Learn more
Four women in their thirties, sitting at a coffee bar looking at a computer and smiling.

Personal finance in your 30s

Learn more
Young female store owner holding a tablet

10 money resolutions to make right now

Learn more

All Learning Center articles are general summaries that can be used when considering your financial future at various life stages. The information presented is for educational purposes and is meant to supplement other information specific to your situation. It is not intended as investment advice and does not necessarily represent the opinion of Protective Life or its subsidiaries.

Learning Center articles may describe services and financial products not offered by Protective Life or its subsidiaries. Descriptions of financial products contained in Learning Center articles are not intended to represent those offered by Protective Life or its subsidiaries.

Neither Protective Life nor its representatives offer legal or tax advice. We encourage you to consult with your financial adviser and legal or tax adviser regarding your individual situations before making investment, social security, retirement planning, and tax-related decisions. For information about Protective Life and its products and services, visit

Companies and organizations linked from Learning Center articles have no affiliation with Protective Life or its subsidiaries.